Applicants include bKash, Robi, and Akij
Thirteen entities, including mobile financial service providers, telecom operators, commercial banks, and large conglomerates, have applied to the Bangladesh Bank (BB) for a digital bank licence.
Several applicants have foreign partnerships, while some have prior experience operating digital banks abroad. The list includes entities formed in collaboration with bKash, Robi, Banglalink's parent company VEON, and Akij Resource.
bKash, one of the country's leading mobile financial service providers, applied for "bKash Digital Bank".
VEON and Square have jointly applied for "Nova Digital Bank". Telecom operator Robi submitted an application for "Boost", while conglomerate Akij Resource applied for "Munafa Islami Digital Bank".
Other applicants include Japan-Bangla Digital Bank by DBL Group, British Bangla Digital Bank PLC, Digital Banking of Bhutan by DK Bank, Amar Digital Bank by 22 microfinance institutions, 36 Digital Bank PLC by 16 individuals, Amar Bank by a group of NGOs, App Bank by a UK-based investor, Moitri Digital Bank PLC by microfinance institution ASA, and Upokari Digital Bank by IT Solutions Ltd.
Digital banks will be an internet and entirely app-based service. Customers will not be able to use services from physical branches.
These banks will provide services 24 hours a day, seven days a week. To facilitate transactions, they may offer virtual cards, QR codes, and other technology-based solutions. However, they will not be allowed to issue physical cards.
Customers will be able to use ATMs and agents of other banks. Digital banks, however, will not be able to open letters of credit or provide loans to medium and large-scale industries. They may offer only small loans.
In a statement, VEON highlighted its experience serving more than 40.7 million monthly users across Pakistan, Kazakhstan, and Uzbekistan, and said it has a strong record of promoting financial inclusion through simple, secure, and accessible digital solutions.
In Bangladesh, the company intends to replicate this model by supporting small businesses, advancing digital payment innovation, and ensuring underserved communities can participate fully in the digital economy.
Kaan Terzioglu, group chief executive officer of VEON, told The Daily Star, "VEON is a consumer and enterprise services company, with telecom licence. Our target is to be number 1 or number 2 in financial services, entertainment, healthcare, education and IT services including AI and cloud for enterprises in all countries we operate. Bangladesh is no different."
Md Firoz Kabir, chief digital and innovation officer of Akij Resource, said the company is ready to enter digital banking with an initiative designed to support the Bangladesh Bank's Digital Bank Framework and the national Smart Bangladesh 2030 Vision.
"Users will experience seamless financial services, all without transaction charges," he added.
The central bank approved guidelines for digital banks in 2023. Under the framework, branchless, end-to-end virtual banks are expected to extend financial services to the country's most remote areas.
Sponsors of digital banks must provide a minimum paid-up capital and launch an initial public offering (IPO) within five years of licence issuance. The IPO amount cannot be less than the sponsors' initial paid-up capital.
Under the guidelines, approval was granted to Nagad Digital Bank and Kori Digital Bank. This, however, was suspended after the fall of the Awami League government in August 2024.
In August this year, the Bangladesh Bank reopened applications from investors interested in establishing digital banks. The original deadline of September 30 was later extended to November 2 following requests from applicants.
The central bank has also raised the minimum paid-up capital requirement for digital banks from Tk 125 crore to Tk 300 crore.
